As reported in a newly-amended 13D filing with the US Securities and Exchange Commission, Boaz Weinstein‘s Saba Capital disclosed a proposal letter sent to the Franklin Ltd Duration Income Trust (NYSEMKT:FTF) asking from the board of directors to “consider authorizing a self-tender offer for all outstanding common shares of the Franklin Ltd Duration Income Trust (NYSEMKT:FTF) at or close to net asset value.”And, if more than 50% of the total amount of shares are submitted for tender, then the tender should be called off, and Franklin Ltd Duration Income Trust (NYSEMKT:FTF) should be either reformed into an open-end mutual fund or liquidated. Saba Capital owns 4.03 million shares of Franklin Ltd Duration Income Trust (NYSEMKT:FTF), which account for 15.03% of the company’s outstanding stock as calculated based upon 26.84 million shares outstanding reported in the company’s annual report to shareholders, filed on December 1, 2015. This is slightly more compared to 3.89 million shares Saba Capital reported in a previous 13D filing.
Franklin Ltd Duration Income Trust (NYSEMKT:FTF) is a closed-end investment company that invests in the fixed markets, such as floating rate bank loans, asset-backed securities, and high yield corporate bonds, to name a few. The company’s shares have dropped by 7.05% over the last 12 months.
At the end of December 2015, among the hedge funds and other institutional investors tracked by Insider Monkey, just two funds reported long positions in Franklin Ltd Duration Income Trust (NYSEMKT:FTF), including Saba Capital, which held the biggest position worth about $26,01 million in stock. The other hedge fund bullish on this stock is Andrew Weiss’ Weiss Asset Management, which reported a position valued at $194,000.
You can access the original SEC filing by clicking here.
Ownership Summary Table
|Name||Sole Voting Power||Shared Voting Power||Sole Dispositive Power||Shared Dispositive Power||Aggregate Amount Owned Power||Percent of Class|
|Saba Capital Management||0||4,032,405||0||4,032,405||4,032,405||15.03%|
|Boaz R. Weinstein||0||4,032,405||0||4,032,405||4,032,405||15.03%|
Page 1 of 7 – SEC Filing
|SECURITIES AND EXCHANGE COMMISSION|
|Washington, D.C. 20549|
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|(Name of Issuer)|
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